market report
The DAX has reached a new record high on each of the past three trading days. However, at the start of trading, cautious requirements from the overseas stock exchanges dampened the buying mood in the DAX – will the record series be broken today?
DThe DAX got off to an extremely unspectacular start to the new trading day in view of the cautious guidelines from the overseas stock exchanges. At the opening of XETRA, the leading German index was almost unchanged at 18,262 points.
This means that the DAX initially missed a new record high in early trading; the current record dates from yesterday and is 18,285 points. In the past three trading days, the DAX had reached a new high and extended its annual gain to more than 9 percent. This means that the record high marked yesterday at 18,285 points remains within sight of investors.
According to the experts at Landesbank Hessen-Thüringen (Helaba), the upward momentum in the DAX is still intact, although overbought signals suggest a correction.
Analyst Jochen Stanzl from the broker CMC Markets, on the other hand, has even more confidence in the DAX: “If the DAX can hold its own above 18,200 points, from a technical perspective the 18,700 mark is now the next target in a trend continuation.” The vehemence of buyers remains unbroken, while critical voices about the rally have almost completely fallen silent.
Fresh economic data sent cautious signals in the morning: consumer sentiment in Germany continues to brighten only hesitantly. The barometer for the consumer climate in April rose by 1.4 points to minus 27.4 points, as reported by GfK and the Nuremberg Institute for Market Decisions (NIM). The strong uncertainty among consumers “in times of multiple crises”, coupled with little confidence in Germany’s economic development, is inhibiting the propensity to consume, said NIM consumer expert Rolf Bürkl.
On Wall Street, the major indices took a break yesterday after their latest record rally. The Dow Jones index of standard stocks closed 0.4 percent lower at 39,313 points. The technology-heavy Nasdaq fell 0.3 percent to 16,384 points. The broad S&P 500 lost 0.3 percent to 5,218 jobs.
Investors in Japan were also not in a buying mood in the morning. The leading Nikkei index, which includes 225 values, left trading virtually unchanged at 40,398 points. The previous week it had exceeded the 41,000 point mark for the first time. The Shanghai stock exchange, on the other hand, was up 0.2 percent.
There is a slight counter-reaction in oil prices in early trading after the surge the day before: In the morning, a barrel (159 liters) of North Sea Brent for delivery in May costs $85.88, 0.2 percent less. At the start of the week, oil prices had increased by around one and a half dollars.
The euro can rise slightly in early foreign exchange trading to currently $1.0845. The bottom formation above the $1.08 mark continues. In the previous week, the European common currency had fallen to $1.0802. Gold is stable at $2,172 a troy ounce this morning.
Siemens shares in the DAX could be worth a look in the morning. The technology company is sticking to its goals for the current financial year. “I’m not worried at all about the group’s annual forecast,” said CFO Ralf Thomas to Börsen-Zeitung. “We will achieve our goals.”
Fuchs boss Stefan Fuchs sold company shares for more than one million euros. Last Friday, according to a mandatory release, he sold papers with a total value of 1.3 million euros at an average price of 45.15 euros. According to another announcement, board member Ralph Rheinboldt parted with Fuchs shares worth almost 207,000 euros yesterday.
The wind turbine manufacturer Nordex has landed a major order in South Africa. The group is to supply 57 turbines for three wind farms, each with 112.1 megawatts. Installation should begin in the second half of 2024. The group did not provide any information about the order volume. With more than 1.1 gigawatts of installed wind capacity, Nordex is the market leader in South Africa with a market share of 32 percent.
The ticket marketer CTS Eventim is increasing its dividend by more than a third after a record year. Half of the net profit is to be distributed at 1.43 euros per share. CTS Eventim is currently only making a vague forecast for the new year: the board expects moderate growth in sales and earnings “at an unchanged high level” given a stable economy.
KWS Saat shares are in demand in the SDAX after the seed company arranged the sale of its corn business and licenses for breeding material in South America. The transaction volume amounts to a mid-three-digit million euro amount. The buyer is the plant genetics specialist GDM, based in Buenos Aires.
Online giant Amazon identified, confiscated and properly disposed of more than 7 million counterfeit products worldwide last year. Since its founding in 2020, Amazon’s Counterfeit Crimes Unit has held “more than 21,000 bad actors” accountable through litigation and reports to law enforcement.
According to a media report, Adam Neumann, co-founder and former boss of the office landlord WeWork, wants to buy the company back. Neumann submitted an offer of more than $500 million for WeWork, the Wall Street Journal (WSJ) reported, citing people familiar with the matter. The office landlord declared bankruptcy in November 2023.